Hungaryʼs SBS Kft., which makes frames, booms and other welded structures for mining, construction and farm machines, laid the cornerstone of a HUF 2 billion assembly hall in Erdőtelek (east-central Hungary) on Wednesday.
The company won HUF 920 million in European Union and government grant money for the investment, said Zsolt Szabó, state secretary for development policy, according to state news wire MTI.
Managing Director László Balogh said the 2,000 square-meter hall, scheduled to be completed in January 2021, will boost the level of automation at the base, increase capacity by 35%, and add assembly to the companyʼs scope of activities.
In addition to the grant money, the project is being financed with a bank loan and HUF 400 mln of the firmʼs own money, Balogh added.
SBS counts Caterpillar, Liebherr and Terex among its business partners. It exports 97% of its output, mainly to Germany, France, Italy, Sweden, and Austria. Last year it had revenue of EUR 22.5 mln.